How Low-Code Platforms Are Transforming Insurance

ByPaul Christiano Last Update on

The insurance industry has reached an inflection point. Changing customer expectations, insurtech disruptions, and legacy IT constraints have collided, forcing insurers to digitally transform at an unprecedented pace. Many are turning to low-code application platforms as a key enabler of rapid innovation. Let‘s explore how low-code is impacting insurance.

Low-Code Spurs Faster Digital Transformation

Low-code platforms allow insurers to build applications by assembling graphical components instead of hand-coding everything. This abstraction and automation accelerates development dramatically.

  • 10x faster application delivery – Leading low-code vendors cite 10x gains in development speed versus traditional coding.
  • 80% less coding – Analysts estimate low-code can eliminate over 80% of repetitive coding work.
  • 65% faster time-to-market – Insurers using low-code report reducing time-to-market by over 65%.

This speed and agility is crucial for insurers competing in a rapidly changing digital landscape. IDC predicts that by 2025, 75% of new apps will be built on low-code/no-code platforms.

Empowering Business Users and Reducing IT Backlogs

Low-code democratizes development by enabling non-technical staff to build apps and automate workflows. Insurers are using it to empower business analysts, claims adjustors, agents – subject matter experts closest to operations and customers.

  • Up to 59% of low-code users within insurance firms are non-IT staff, Deloitte estimates.
  • 92% of IT leaders surveyed say low-code reduced demand on their team.

Expediting app delivery this way lets IT focus on higher-value efforts like modernizing legacy infrastructure. Business users get the tools to digitize and optimize their own processes without waiting months for IT backlogs.

Driving Real Business Impact

With low-code, insurers are delivering apps and automations that meaningfully impact KPIs:

  • 50% faster claims processing – Liberty Mutual built a low-code solution cutting claims handling time by 50%.
  • $15 million saved annually – Allstate estimates their low-code initiatives have saved over $15 million yearly in productivity.
  • 70% policy renewal increase – Amica Mutual increased self-service renewals by 70% using a low-code customer portal.
  • 5 days agent onboarding – Primerica slashed new agent onboarding from 4 weeks to just 5 days using low-code.

Beyond raw speed, low-code aligns solutions more closely to business needs, ultimately driving revenues, lowering costs, and improving agility.

Key Use Cases in Insurance

Insurers are leveraging low-code platforms across a diverse range of applications:

Customer and Agent Portals

  • Quoting, shopping, purchasing insurance
  • Filing and tracking claims
  • Managing policies and payments
  • Onboarding and servicing agents

Internal Workflow Automation

  • New business underwriting
  • Claims intake, adjustment, and settlement
  • Financial reporting and reconciliation
  • Contact center management

Data Integration

  • API-based integration of legacy systems
  • Automated data exchange workflows

Analytics and Reporting

  • Operational and executive dashboards
  • Visualization of insights from IoT data

Product Development

  • Rapid prototyping of new products/features
  • Real-time policy customization engines

The adaptability of low-code allows insurers to solve a wide variety of business challenges – both customer-facing and internal.

Driving Low-Code Success in Insurance

To maximize value from low-code platforms, insurers should:

  • Start small, proving value through targeted solutions
  • Maintain strong IT governance for scalability and security
  • Involve both business and IT users early on
  • Provide training and support for citizen developers
  • Establish integration standards for legacy systems
  • Look for opportunities to automate manual processes
  • Combine low-code with other modern capabilities like AI, IoT, and cloud

The Future is Low-Code

In summary, low-code application development brings transformational speed, agility and business-IT collaboration opportunities to insurance. As technology and markets rapidly evolve, low-code platforms enable insurers to quickly deliver the innovations needed to stay competitive. While thoughtful adoption is required, carriers who dismiss low-code risk ceding digital ground to more agile insurtech rivals. Partnering strategically with expert low-code platform vendors can help insurers make the most of this disruptive new capability.

I am Paul Christiano, a fervent explorer at the intersection of artificial intelligence, machine learning, and their broader implications for society. Renowned as a leading figure in AI safety research, my passion lies in ensuring that the exponential powers of AI are harnessed for the greater good. Throughout my career, I've grappled with the challenges of aligning machine learning systems with human ethics and values. My work is driven by a belief that as AI becomes an even more integral part of our world, it's imperative to build systems that are transparent, trustworthy, and beneficial. I'm honored to be a part of the global effort to guide AI towards a future that prioritizes safety and the betterment of humanity.

Similar Posts